About the FD Calculator
What is the FD Calculator?
A Fixed Deposit (FD) locks a sum with a bank, small finance bank or NBFC for a fixed period at a guaranteed interest rate. It is one of the safest ways to grow money in India, and bank deposits are insured up to ₹5 lakh per depositor per bank by DICGC.
Enter the deposit amount, the interest rate, the tenure (in years, including fractions such as 1.5) and how often interest compounds. Most banks compound FD interest quarterly. The calculator returns the maturity value, the interest earned and the total return on the deposit.
How to use the FD Calculator
- Deposit Amount (₹) (sample: 5,00,000)
- Interest Rate (% per year) (sample: 7.2)
- Tenure (Years) (sample: 5)
- Compounding (sample: Quarterly)
- Press Calculate FD (results also refresh as you type). The result card shows the Maturity Value, along with Deposit Amount, Interest Earned and Total Return on Deposit.
Formula used
A = P × (1 + r ÷ m)^(m × t)
- A = the maturity amount
- P = the deposit (principal)
- r = the annual interest rate (as a decimal)
- m = compounding periods per year (4 for quarterly)
- t = the tenure in years
Interest earned = A − P. The calculator applies to cumulative FDs, where interest is reinvested; payout FDs pay interest out instead.
Worked example
These are the sample values already filled in the calculator above, and the result it returns for them:
| Input | Sample value |
|---|---|
| Deposit Amount (₹) | 5,00,000 |
| Interest Rate (% per year) | 7.2 |
| Tenure (Years) | 5 |
| Compounding | Quarterly |
| Result | Value |
|---|---|
| Maturity Value | ₹7,14,374 |
| Deposit Amount | ₹5,00,000 |
| Interest Earned | ₹2,14,374 |
| Total Return on Deposit | 42.87% |
Tips for using the FD Calculator
- FD interest is fully taxable at your slab rate; banks deduct 10% TDS if interest exceeds ₹50,000 a year (₹1 lakh for senior citizens).
- Senior citizens usually get 0.25–0.50 percentage points extra.
- Break a large deposit into several smaller FDs (a ladder) so you can access part of it without breaking everything.